1.11 You are the administrator

1.11 You are the administrator of a large metropolitanhospital that operates the only 24-hour emergency room in the area.You must schedule attending physicians, resident physicians,nurses, laboratory, and support personnel to operate this facilityeffectively.

a. What measures of effectiveness do you think patientsuse to evaluate the services that you provide?

b.How are forecasts useful to you in planning servicesthat will maximize these measures of effectiveness?

c.What planning horizon do you need to use? Does thislead to short-range or long-range forecasts?


(a) It is required to administer, plan,organize, direct, and monitor the outcomes of medical and healthservices.Effectiveness can be measured by so manyfactors such as:-

  • Availability of doctors and staff
  • degree to which health services preserve or improve the healthof patients.
  • cleanliness
  • Cost of Treatment
  • Facilities provided by Hospital
  • Staff behaviour.

(b) Demand forecasting to predict customer demand for a specificperiod. Forecasting can lead to an improved cash flow,minimized inventory costs (no stock-outs or overstocks) andoptimized inventory, and more satisfied customers.

A hospital or healthcare facility must be able to projectdemand based on location, address both long-term andshort-term needs, support the facility or system’s budgetary needs,and address critical lead times.

(c) Strategic planning in healthcare isimportant to succeed not only in the short run, but long term aswell. Long term hospital strategic plan to ensure a safe andsuccessful future.

A hospital strategic plan allows for more efficiency in allaspects of the business of running a practice. long term goals mustbe determined and eventually met for the longevity of the business.To do so, an analysis of the local markets and the industry as awhole must be conducted to predict the future of these markets.

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